The question regarding whether a church ought to operate on a traditional calendar budget year (running from January 1 to December 31) or a fiscal one (such as August 1 to July 31) is financial insider talk for most congregants. Most churchgoers don't ever roll up their sleeves and get their hands dirty with the nitty-gritty details of the budgeting process, so the manner in which a church's accounting office runs its budget year is unlikely to affect the congregation's service attendance in any perceptible way.
But for those who care about the financial operation of the church, the decision of how to handle the church budget year is vitally important.
Two key considerations
When determining their budget years, churches must weigh the merits of two considerations, says Dan Busby, president of the Evangelical Council for Financial Accountability (ECFA). Those two factors are end-of-the-year ...